UPDATE: Canaccord Downgrades Tahoe Resources On Share Outperformance

In a report published Thursday, Canaccord analyst Tony Lesiak downgraded shares of Tahoe Resources (NYSE: TAHO) from Buy to Hold to better reflect the implied price target of $30.50.

Lesiak emphasized that Tahoe has outperformed silver producer peers by 25 percent and senior gold producers by 33 percent year-to-date. The company has additionally outperformed the silver price by 50 percent YTD.

Canaccord wrote, "Tahoe's operational performance continues to be exceptional in our view, and we note that our current production and financial forecasts for 2014/15 may prove conservative. Unit operating costs are expected to decline over the remainder of 2014, potentially below budget with improved economies of scale and productivity gains. Concentrates are on spec and TCRCs and payability terms appear to be better than expected and improving given THO's strong marketing efforts and high precious metal content."

Shares of Tahoe closed at $27.18 on Wednesday. Shares are currently down less than one percent.